REVISED – – DISTRICT AUDITING SERVICES

NEWS from Detroit Public Schools
Office of Public Relations

Contact: Steve Wasko
313-873-4542; cell 313-212-5636
steven.wasko@detroitk12.org

The annual audit process is one which all school districts routinely follow. In the case of school districts, state aid payments will not be received if audits are not submitted by November 15.

“The audit process every school district goes through presents a good opportunity to review how the district uses its funds,” said Chief Financial Officer Joan McCray. “Further, we have been informed by Michigan Department of Education officials that failure to submit a completed audit will result in withholding of future state aid payments beginning with the December 2008 payment. Emergency payment provisions will not be granted. If the December state aid payment is not received, the negative impact would be significant for all of our district’s families due to our inability to make payroll on the December 23 pay date and thereafter until submission of the audit.”

The Detroit Board of Education in May approved the selection of a firm, Rehmann Robson, and instructed the school district administration to negotiate an agreement. Continuous negotiations did not conclude in a contract agreement by the deadline. Rehmann submitted modifications to the contract which alleviated earlier concerns, resulting in a recommendation from the administration to the Board of Education. The modification was approved at the September 4 Audit Committee meeting to be referred to the full Board for approval at its September 11 meeting.

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SW9/5/08

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